Family and Social Solidarity Minister, Dolores Cristina yesterday reiterated the government’s commitment to exempt families in difficult financial situations from the electricity surcharge.
She said that her ministry and that of finance had carried out an extensive impact assessment on various sectors of society that may be negatively hit by the electricity surcharge. The exercise includes modelling of various households regarding composition, income and consumption to ensure that those who deserve help will receive it.
Rebutting claims made by Marie-Louise Coleiro, the Family and Social Solidarity Ministry emphasised that it was incorrect to state that the government had left this issue on the back-burner.
“An automatic exemption on surcharge was extended to all those eligible to receive a rebate on their water and electricity bills as established by two legal notices. In order to qualify, applicants need to pass the means test applicable to the Sickness Assistance benefit (Ska),” the ministry said.
It added: “The primary criteria is that the beneficiary must be unemployed. In addition, the Ska means test is calculated by a formula whereby the National Minimum Invalidity Pension (currently standing at Lm48 weekly) is deducted from the head of household’s income. The resultant amount must be less or equal to Lm9.30 per week for the head of household and an additional Lm3.50 for the other household members.”
The ministry said that the spokespersons for the opposition were incorrect to state that the government has decreased the number of social cases eligible for this exemption. The decrease was the result of an updating information exercise which revealed that out of the original 13,000 cases, 2,300 had undergone positive changes in their financial status and were therefore, no longer eligible to benefit.
“This in itself is positive as it implies that these persons are now able to look after their own needs. It must be said that, had they been left on the list, this would have resulted in an abuse of the system, something which will not be tolerated, a stand which the opposition would definitely and fully support,” the ministry said.
However, the ministry insisted that this did not imply that other persons who were not currently eligible for this exemption through the Ska means test would not be considered for an exemption on surcharge.
“A separate exercise has been undertaken to deal with cases as they come in so as to include those also qualifying for subsistence (non-contributory) benefits who do not necessarily qualify for this exemption through the Ska means test.
“The government is actively considering extending exemption to cases which can justify their extraordinary consumption due to certified medical conditions of persons within that household and which condition results in an abnormal consumption of electricity. In fact, cases of the sort which were referred to the ministry have already been passed on to the Department of Social Security which in turn has notified the Water Services Corporation to grant exemption to these cases.”
Referring to a newspaper report in which Mrs Coleiro was quoted as saying that cases that had been sent to the ministry had been refused, the ministry said this was not true.
“There are cases which the ministry received which were in fact given this exemption by the Department of Social Security to whom the cases were forwarded. Some may have been found to be ineligible. However, all will agree that surcharge exemption cannot be handed out to all, indiscriminately, simply because a letter of request is sent. Those who are deserving will receive an exemption, those who are not, will not.”
The ministry said that the Labour MP is quoted as saying that the government’s choice to hand over the cases to the Department of Social Security is a way of shrugging responsibility.
“Quite apart from the fact that the Department of Social Security falls under the remit of the Family and Social Solidarity Ministry and is one of its executive arms, this statement on Mrs Coleiro’s part is incomprehensible. It is certainly not Minister Cristina’s personal competency to decide on these cases. Were these cases to be actually decided upon by the minister or her secretariat, Mrs Coleiro would no doubt accuse the ministry of political interference.”
The ministry said the system must necessarily “be a just and transparent one. Consultation is ongoing between the Director for Social Services and the Minister for the Family and Social Solidarity. Assuring that the person vested with this remit, in this case the Director of the Department of Social Security, actually does the work is surely irreprehensible.”